Essays on Development Policy and the Political Economy of Conflict

Electoral Rules and Leader Selection: Experimental Evidence from Ugandan Community Groups. Despite a large body of work documenting how electoral systems affect policy outcomes, less is known about their impact on leader selection. We study this by comparing two types of participatory decision making in Ugandan community groups: (i) vote by secret ballot and (ii) open discussion with consensus. Random assignment allows us to estimate the causal impact of the rules on leader types and social service delivery. Vote groups are found to elect leaders more similar to the average member while discussion group leaders are positively selected on socio-economic characteristics. Further, dropout rates are significantly higher in discussion groups, particularly for poorer members. After 3.5 years, vote groups are larger in size and their members save less and get smaller loans. We conclude that the secret ballot vote creates more inclusive groups while open discussion groups favor the already economically successful. Preparing for Genocide: Community Meetings in Rwanda. How do political elites prepare the civilian population for participation in violent conflict? We empirically investigate this question using data from the Rwandan Genocide in 1994. Every Saturday before 1994, Rwandan villagers had to meet to work on community infrastructure. The practice was highly politicized and, according to anecdotal evidence, regularly used by the political elites for spreading propaganda in the years before the genocide. This paper presents the first quantitative evidence of this abuse of the community meetings. To establish causality, we exploit cross-sectional variation in meeting intensity induced by exogenous weather fluctuations. We find that an additional rainy Saturday resulted in a five percent lower civilian participation rate in genocide violence. Selection into Borrowing: Survey Evidence from Uganda. In this paper, I study how changes to the standard credit contract affect loan demand and selection into borrowing, using a representative sample of urban micro enterprises, most with no borrowing experience. Hypothetical loan demand questions are used to test whether firm owners respond to changes in loans' contractual terms and whether take-up varies by firms' risk type and other firm owner characteristics. The results indicate that contracts with lower interest rates and less stringent collateral requirements attract less risky borrowers, suggesting that there is scope for improvement of standard financial contract terms. Credit Contract Structure and Firm Growth: Evidence from a Randomized Control Trial. We study the effects of credit contract structure on firm outcomes among small and medium sized firms. A randomized control trial was carried out to distinguish between some of the key constraints to efficient credit use connected to the firms' business environment and production function, namely (i) backloaded returns (ii) uncertain returns and (iii) indivisible fixed costs. Each firm was followed for the 1-year loan cycle. We describe the experiment and present preliminary results from the first 754 out of 2,340 firms to have completed the loan cycle. Firms offered a grace period have higher profits and higher household income than firms receiving a rebate later on as well as the control group. They also increased the number of paid employees  and reduced the number of unpaid employees, an effect also found among firms that received a cash subsidy at the beginning of the loan cycle. We discuss potential mechanisms behind these effects.

The impact of e-business infusion on channel coordination, conflict and reseller performance

Manufacturer–reseller interactions are becoming more technology-enabled as channels of distribution increasingly utilize e-business tools on the Internet. This research examines the performance consequences for resellers as these technological advances are applied to distribution activities between channel members. Using a sample of 216 resellers of computer products, the research explores the impact of e-business tools in 2 areas of manufacturer–reseller interactions: supply tasks and demand tasks. The results suggest that e-business in supply tasks increases relationship coordination between manufacturer and reseller, whereas e-business in demand tasks increases coordination as well as conflict within the channel dyad. The increase of conflict constitutes a potential “dark side” of e-business in channel relationships that may provide an explanation for e-business implementation failures and negative returns on investment in technology.

Ethnic conflict and war crimes in the Balkans:the narratives of denial in post-conflict Serbia

In the years following the fall of Slobodan Milo evic, Serbian social, cultural and political responses to the wars of the 1990s have fallen under intense international scrutiny. But is this scrutiny justfied, and how can these responses be better understood? Jelena Obradovic engages with ideas about post-conflict societies, memory, cultural trauma, and national myths of victimhood and justified war to shed light upon Serbian denial and justification of war crimes - for example, Serbia's reluctant cooperation with the International Criminal Tribunal for the former Yugoslavia (ICTY). Rather than treating denial as a failure to come to terms with the past or as resurgent nationalism, Obradovic argues that the justification of atrocities are often the result of a societal need to understand and incorporate violent events within culturally acceptable boundaries.

The role of interoganisational tension and conflict in market creation practice

Markets exist within a world of constant exchanges which form the basis for changes and the creation of new markets. Therefore, it is important to research these exchanges. One of the areas in which market creation can be observed is interorganisational collaborations, as firms increasingly collaborate to create markets. In market creation practice, however, interorganisational tension and conflict can form from divergent approaches and vested interests of the partners. Interorganisational tension represents the opposing intentions of interorganisational forces, and conflict is generated through disagreements. The aim of this research is to investigate interorganisational tension and conflict on market creation practice. Specifically, it attempts to: (i) expand interorganisational tension and conflict and provide insights to these concepts, as well as establishing a two-dimensional interorganisational tension (productive and unproductive) understanding, (ii) explore the interactions between interorganisational tension and conflict, (iii) develop a conceptual framework that explains the level of market creation depending on the effects of interorganisational tension and conflict, (iv) develop a typology of partnering firms based on interorganisational tension and conflict practice. To achieve this aim, and to respond to the research calls, this study follows a grounded theory approach which intends to expand the understanding of interorganisational tension and conflict. According to the findings, a major characteristic of interorganisational tension is its two dimensions: productive and unproductive. However, it is the intertwined nature of tension and conflict that influences market creation. Fundamental to these are the six interorganisational tension and three conflict types revealed by the findings of this study. The core theoretical contributions of the study are a dynamic framework that portrays the dynamic interactions between interorganisational tension and conflict on market creation practice, and a typology of market-creating partnering firms. Collectively, they explicate the development of market creation practice, and firms’ reactions to interorganisational tension and conflict.

International business research and risky investments, an analysis of FDI in conflict zones

The purpose of this paper is to examine the determinants of a firm's strategy to invest in a conflict location. To the best of our knowledge, this has not been done before. We examine this using a standard model of international business, overlaid with the fundamental approach to corporate social responsibility. We start with the population of multinationals who have chosen to invest in low income countries with weak institutions. We then split this sample in order to distinguish between firms that have invested in conflict regions compared to those that have not. Our analysis then proceeds to explain the decision of those firms to invest in conflict locations using a simple Probit model. We find that countries with weaker institutions and less concern about corporate social responsibility (CSR) are more likely to invest in conflict regions. Finally, firms with more concentrated ownership are more likely to invest in such locations. © 2012 Elsevier Ltd.

Conflicts and online community social capital:the influence of conflict management practices

Conflicts are part and parcel of online community dynamics (De Valck 2007; Harrison and Jenkins 1996; Kozinets 2001) – from flames about publishing inappropriate content (De Zwart and Lindsay 2009) to battles to win high status positions (Campbell, Fletcher and Greenhill 2009) and stigmatization of illegitimate insiders (Tikkanen, Hietanen, Henttonen, and Rokka 2009) up to bashing and smearing campaigns (Bocij 2002). As the concept of community presumes unity, marketers may be inclined to suppress any dissonance in their online brand communities thinking that it may hurt brand image or community attractiveness. However, Fournier and Lee (2009) advise marketers to embrace the conflicts that make communities thrive. As tensions and conflict cannot be avoided this seems logical advice. Nevertheless, are all tensions and conflicts created equally? Are some not more constructive (or destructive) than others? Thus, should all tensions and conflicts really be embraced, and what can be done to channel tensions and conflicts such that they do not become destructive? These questions form the starting point of this paper.

Shopfloor attitudes towards advanced manufacturing technology:the changing focus of industrial conflict?

The implementation of advanced manufacturing technology (AMT) in manufacturing organisations is increasing. In many cases the introduction of AMT has been associated with conflict between management and workers. This appears to be due to the potential for AMT to have a de-skilling effect upon job content and, in some instances, leading to job losses. In reality, fears concerning both these issues have reduced and consequently there has been a change away from conflict between management and workers to divisions amongst shopfloor operators. The paper explores some of the processes involved in this change within the context of an engineering case study. More specifically, it is shown that when AMT was introduced into a machining workshop, traditional conflict between management and operators was soon replaced by negative feelings between users and non-users of AMT. The implications of industrial relations suggest the need for more care and attention to the human side of work organisation when implementing new manufacturing technology.

We want drama! The effect of online conflict on social capital in online communities of consumption

Online communities (OC) are an expanding social phenomenon gaining increasing interest from marketing practitioners. Community managers thus aim to increase OCs’ social capital. Diversity of individuals interacting in OCs provokes a lot of conflict. However, the influence of online conflict on OCs’ social capital is not clear as research indicates both positive and negative effects. The research aims to explain these contradictory effects by conceptualizing conflict as drama and developing a typology of online conflict. Based on netnographic investigations of a forum, four types of conflicts are thus distinguished depending on valence of emotions and the type of members involved. The research contributes to literature on OC dynamics and is of particular interest for community managers working in any company or organization.